Cheapskate Wisdom from … Barack Obama (on Teaching Kids about Money)

“So many of the problems that we see had to do with the fact that just basic calculations about compound interest and — and what that means, you know, kids aren’t taught that. And so what I’m doing now with Malia and Sasha is, you know, they’re getting an allowance. They’re starting to get old enough where they may be able to earn some money babysitting. They’ve got their own savings accounts. And — and what I’m trying to explain to them are basic concepts about savings, about interest, about being able to use the math skills that they’re learning in school to figure out that if — if they keep $100 in their bank account at 2 or 3 percent interest for six months, this is how much money they’re going to have at the end of it.”

Among other things, President Obama spoke recently to ABC News about the financial reform bill, Elizabeth Warren, his retirement portfolio, and how he is teaching his own kids about money.